GBP/USD tumbles notwithstanding UK data

On Wednesday, the British pound slumped against the American dollar, notwithstanding the issue of optimistic American employment data as new hopes for an approaching rate lift by the Federal Reserve spurred demand for the US major currency.

During European morning trade, the currency pair GBP/USD hit 1.3011, the session minimum. However, the pair consolidated at 1.3015, losing 0.24%.

Cable was likely to gain support at 1.2871, Tuesday’s minimum as well as resistance at 1.3178, the peak of August 5.

The British Office for National Statistics informed that the unemployment rate stood intact at 4.9% in the three months to June, which is in line with forecasts.

In July, the claimant count dropped by 8,600, compared to hopes for a surge of 9,500 people, and following a rally of 900 a month earlier.

Meanwhile, the average earnings index, including bonuses, surged by 2.4% for he three months to June. That’s in line with forecasts.